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For territories outside of Malaysia, OLDTOWN WHITE COFFEE focuses on finding Master
Licensees who will be responsible for setting up, managing and operating the entire business for
their territory. The Master Licensee will be obligated to study the market, and propose a
Development Schedule for the territory in question and to all intents and purposes replicate the
model of the Licensor within their territory.
OLDTOWN WHITE COFFEE
.
1.
What are the pre-qualifications for a Master Licensee? The following list would be ideal
however we do realize that not everyone would qualify under all of the following:
Potential Licensee must be from a current chain Food and Beverage operator with
more than ten (10) shops in current operations.
10
Potential Licensee should have a Central Kitchen already in use OR be willing to set
up a Central Kitchen immediately upon signing the Master License Agreement.
Potential Licensee should have a Logistics and Distribution Centre which is currently
in use OR be willing to set up a Logistics and Distribution Centre immediately upon
signing the Master License Agreement.
During the interim period, prior to the setting up of the Central Kitchen and Logistics
and Distribution Centre (if necessary), the Potential Licensee will be expected to
import all necessary products and raw materials from the Licensor in Malaysia as
specified by the Licensor.
The Potential Licensee will be expected to manage all aspects of the importation and
logistics of the products and raw materials from the Licensor as the term of the sale
will be ex-work from Malaysia.
Potential Licensee must be committed to being the owner, and operator of the
licensed outlets, and not just an investor. He or she should be responsible to oversee
and develop the management system for the day to day business operation of the
shops.
The Potential Licensee should also have expertise in areas of business development,
promotion and marketing ideally in the F&B or retail category.
2.
3.
What is the initial Master License Fee and what does it include?
Master License Fee
Upon confirmation, the Master Licensee is to make an upfront payment the initial Master
License Fee of between USD 100,000 USD 400,000 (this figure depends on the territory
potential). This includes the rights to use the Trade Name, Trade Mark and systems of
OLDTOWN WHITE COFFEE in the pre-agreed territory. Initial training is also provided
(excluding any out-of-pocket expenses incurred).
10 40
OLDTOWN White Coffee
4.
What is the term for the Master License Agreement and what is the procedure for
renewal?
The term is for a period of 5 years with a conditional option to renew for another 5 years. A
Renewal License Fee is chargeable at USD 50,000 (subject to review).
5 5 50,000
5.
5% (Royalty Payment), 1%
(Market Development Contribution)
25,000
6.
What is the estimated fit-out costs for an OLDTOWN WHITE COFFEE outlet?
The estimated set up cost depends on store size and local conditions but can be between USD
250,000 to USD 400,000. The total cost will include: all equipment, and entire store fit out,
including renovations.
OLDTOWN White Coffee
25 40
7.
8.
What considerations and size specifications are required for an OLDTOWN WHITE
COFFEE outlet? A typical outlet in Malaysia ranges from 1,800 sqft to 3,000 sqft. Again this
very much depends on the territory which you are in as well as the positioning which you are
proposing for your territory.
OLDTOWN White Coffee
1800 3000
9.
Operations & Training Manager - Responsible for managing all areas in the daily
operations and training including maintaining a positive company image and morale
and to cultivate an efficient operations and training team for the company. Will be
responsible for the translation of all Training Manuals into the local language if
necessary taking into account the local modifications.
- /
- OldTown
10.
Return flights
On-ground transport.
Opening
Period: 14 days, beginning 1 week prior to pilot outlet opening.
Personnel: 2 dedicated operational level staff for the purpose of supporting pilot outlet opening.
Costs to be borne by the Master Licensee:
Return flights
On-ground transport.
Operational Audits Managerial and below
Period: 4 visits a year, not exceeding 7 days in duration.
Personnel: 1 dedicated staff for the purpose of auditing the outlets, Distribution Centre, and
Central Kitchen (if applicable) for compliance.
Costs to be borne by the Master Licensee:
Return flights
accommodation (min USD 150 per night per person)
allowances (USD 50 per day)
on-ground transport.
Management Visits Senior Management and above
Period: 2 visits a year, not exceeding 7 days in duration.
Personnel: 2 dedicated staff for the purpose of business reviews and market visitation.
Costs to be borne by the Master Licensee:
Return flights,
accommodation (min USD 180 per night per person)
allowances (USD 50 per day)
on-ground transport.
90
1
:
150 )
( 50 )
14
2
:
100 )
( 40 )
-
4 7
()
:
150 )
( 50 )
-
2 7
2
:
180 )
( 50 )
11.
/ (Managing Principal)
12.